What Is Nepal Pay Card: Know Its Benefits And Features Nepal Clearing House Limited (NCHL) has launched ‘Nepal Pay Card’ under Nepal Payment Switch from Monday. This is Nepal’s own payment card system, which aims to reduce costs for both banks and customers and make transactions faster and more secure.
NCHL has launched Nepal Pay Card in line with Nepal Rastra Bank’s strategy to develop its own payment system. After various rounds of discussions and approvals, the Rastra Bank had given NCHL the responsibility of its implementation. It is said that the work of switch integration of banks and financial institutions will proceed after the necessary infrastructure preparations are completed.
What is the Domestic Card Scheme (Nepal Pay Card)
When you go to withdraw money from an ATM, it takes some time for the money to come out after entering all the details. What is the time taken for that? Currently, banks and financial institutions in Nepal are providing international cards. Due to this, it takes some time when you go to an ATM and withdraw money due to international data routing.
Now, if we understand this process as a domestic card scheme, after we go to the ATM and enter our details, the data that used to travel abroad will now travel within Nepal to the NCHL server.
That is, Nepal’s data will remain in Nepal. Another thing, under this scheme, you will be able to use the ATM of any bank in the ATMs of other banks. Just as you are currently using your bank card in the ATMs of other banks. Accordingly, this card will also work in the network of all Nepali banks. That is why it is called a domestic card scheme.
Routing, clearing and settlement will take place within Nepal. If we look at it globally, currently, various countries around the world, including neighboring India, are operating domestic card schemes with international transaction facilities.
What does Nepal Pay Card do?
Just as we currently get debit or credit cards from our banks, Nepal Pay Card will also be available in the form of debit, credit, prepaid and virtual cards. It will allow you to make payments online and withdraw money from ATMs of affiliated banks.
Since it is currently in its initial stage, this card can only be used within the country. However, NCHL Executive Chairman Nileshman Singh Pradhan says that work is underway to bring it to use internationally as well. Similarly, he says that work is also underway for the Nepal Pay Dollar Card soon.
Which banks are available?
On Monday, NCHL signed an agreement with nine different banks to operate Nepal Pay Card. NCHL has signed agreements with Citizens Bank, Goodwill Finance Limited, Himalayan Bank, Machhapuchhre Bank, Muktinath Bikas Bank, NMB Bank, Prabhu Bank, Shangri-La Development Bank and Siddhartha Bank regarding the operation of Nepal Pay Card.
Of these, Himalayan Bank has started distributing ATMs from Monday itself. This means that Himalayan Bank will now gradually provide Nepal Pay Card to its customers. However, the company says that even if banks have not switched to Nepal Pay Card, the data of the card currently being used by the customer can be operated through Nepal Payment Switch.
